BOE's Carney: We Have Room to Further Lower Interest Rate

The transcript discusses the trade-offs faced by the Monetary Policy Committee (MPC) of the Bank of England in stabilizing prices versus impacting output and employment. It elaborates on potential policy tools available, such as liquidity and credit easing, and the associated trade-offs. The direction of these trade-offs depends on the balance of forces. The discussion also covers conventional and unconventional monetary policies, with a focus on the MPC's judgment on lowering the Bank rate and the range of unconventional options like quantitative easing.

What does the MPC consider when deciding to tighten or loosen monetary policy?

What unconventional measures might the MPC use if needed?